I'm worried he's too bored he keeps pacing.. And trying to get out.. Also that is Cyprus mulch but he keeps scratching his face. And he won't swallow this piece of grass..
These guys walk for miles in the wild. It's what they do. More space is always better, yes. But I think what you've done with his current space is great. A lot better than a plain pool of just dirt, a hide and a water dish. Eventually (sooner than you think) you'll be preparing a bigger outdoor pen anyway and at that time try to give him as much as possible.
About the Cyprus mulch:
I don't use it, some do. I prefer to use natural dirt in all my pens. Indoor and out. If you aren't satisfied with the mulch or are concerned about it being an irritant try a different substrate. The Advanced Tortoise Topic section has a great thread going about different mixes.
About the grass:
Is it just hanging out of his mouth? Occasionally mine have that, too. I'll either A) offer more food to see if eating helps it go down or B) pull it gently out of the mouth. Try A first.
Just kidding...You've done a real nice job on getting the tortoise into an outside habitat. A word of caution...some tortoises use trees, pots and bushes as ladders. It might be a good idea to move those plants out from the edge a bit. I like the way you've covered up the hiding place.
Some tortoises are pretty nervous about being put into a new habitat. It may take him a while to settle in.